Regional banking Earnings: Zions Bancorporation & Regions Financial
Zions Bancorporation (NASDAQ:ZION) shares slumped in the pre-market session as the bank posted a lower-than-estimated first quarter profit.
The bank earned $25.49 million or $0.14 per share, up from a year ago profit of $14.77 million or $0.08 per share, missing analysts’ estimates by 13 cents.
Net interest income for the quarter grew to $442.30 million from $423.86 million, where as total non-interest income dropped to $107.0 million from $134.14 million in the prior-year quarter. Analysts were targeting $565.61 million for the quarter.
During the latest quarter, provision for credit losses decreased to $15.66 million from $60.0 million last year.
Shares of ZION are down over 5% to $19.75 in the pre-market session.
Regions Financial Corporation (NYSE:RF) shared jumped in the pre-open session after the bank reported a solid jump in its first-quarter earnings due to decreased provisions for loan losses.
The company reported net income of $145 million or 11 cents a share, ahead of analysts’ estimates by 3 cents.
The provision for loan losses totaled $117 million or $215 million less than net charge-offs; the lowest quarterly loan loss provision in more than four years. Total net charge-offs declined $98 million or 23 percent linked quarter.
Net interest income from continuing operations was $827 million, a $22 million decline linked quarter, driven by a $1.2 billion decline in average earning assets and higher mortgage prepayments.
Non-interest revenues from continuing operations totaled $524 million, up 3 percent linked quarter as a result of higher mortgage income.
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